THURSDAY, 'MARCH 16, 1967 THE MICHIGAN DAILY PAGE THREE TO AID BUSINESS: Johnson Announces Lodge; House Committee Li beralizes To R4 Ex-Indian Ambassador To Fill Post President Questions Kennedy Proposals In Tennessee Speech NASHVILLE, Tenn. (M)-Henry Cabot Lodge is resigning as Am- bassador to South Vietnam, Pres- ident Johnson said yesterday and will be replaced by a 72-year- old diplomatwhose wife also is an ambassador. The President chose an address to the Tennessee legislature for his surprise announcement that Ellsworth Bunker, former ambas- sador to India and to the Or- ganization of American States, will succeed Lodge as this coun- try's ambassador in Saigon. Departing from his speech in defense of the bombing of North Vietnam, the President also an- nounced that Lodge's deputy in Saigon, William. Porter, is re- signing. He will be replaced by Eugene Locke, now ambassador to Pakistan. Locke, a 50-year-old native of Dallas, Tex., was appointed am- bassador to Pakistan last year. Johnson also announced that Robert Komer, a his special as- sistant who has been overseeing pacification programs in South 4'Vietnam, will beef up his opera- tion and will be spending more of his time in Vietnam. Lodge °has been talking pri- vately for some time about wind- ing up his second tour of duty in South Vietnam. No new assignment for Lodge was announbed. Rejects Kennedy Speech The President-who joined the First Lady for a Tennessee visit on the 200th birthday anniversary of Andrew Jackson, the nation's seventh president-addressed a w joint session of the Tennessee legislature. He flatly rejected suggestions by Sen. Robert F. Kennedy, (D- N.Y.), and others that the bomb- ing be halted in an effort to en- tice Hanoi ; to the bargaining table. The chief executive and Mrs. Johnson, guests of Tennessee Gov. and Mrs. Buford Ellington, got a warm welcome, but the crowds on the chill, gray day were spotty. Dsign Saigon, Posit 0 rroposai for iax incentives Of P K-l -1 0 WASHINGTON (AP)-The House The committee action, however, Ways and Means Committee out- brought renewed predictions that j_ did President Johnson's recom- Congress would never approve mendation yesterday in moving such a bill and then vote the kind, to restore suspended tax incen of income tax hike on individuals tives for business. and corporations that Johnson ---- - It sent to the House a bill that has recommended, a six per cent would not only restore the in- surcharge in each case. vestment tax credit and speeded "I think the surtax was dead depreciation rules suspended last anyway and now it is buried a October but apply them to many, little deeper." Rep. Al Ullman of perhaps most, of the transactions Oregon, a Democratic member of Slot To begun during the suspension per- the Ways and Means Committee, iod. said. Estimates of the tax benefits "After what the committee did the legislation would provide today, the only conceivable tax ranged around $1.4 billion. increase would be one on cor- Se Questions iatric Tireatment F*Jp "1L s Sax f afinn. Defen Psych Of State's Witness in- - 5/v ..v - s ' v /U. s ,.. r u U .' 51 v ..w.v 5iv/w v NEW ORLEANS LA'T-Defense' odreo lawyers tried to show WednesdayLd Fe that Dist. Atty. Jim Garrison's Kennedy assassination conspiracy case against Clay L. Shaw is NEW DELHI. India (P) - A replied. Life is not that simple,'" founded on fantasy or lies. friend of Joseph V. Stalin's Lohia said. Perry Raymond Russo. 25. a daughter Svetlana said yesterday Lohia said he first met Svet- Baton Rouge insurance salesman, he believes she defected from the lana on a visit to Moscow in 1965 underwent sharp cross-examina- Soviet Union because of "a des- and in a three-hour talk she tion during the second day of a perate longing for freedom-to gave "a very balanced view of meet the pneOnp she wanted. to her father." porations, in case of ai-ther cor- porate spending boom." But the Johnson surtax plan got renewed support from Chair- man William McChesney Martin of the Federal Reserve Board who told the House Baking Commit- tee, "I see no reason to change my view that it is something we should have." Declares No Conflict He said that if the surtax is not voted and some other finan- cial assumptions by the admin- istration do not work out, the prospective deficit may go over $18 billion. Martin contended there is no conflict between restoration of the investment tax credit and enactment of he surtax. He said the economy has slowed down. "but I don't mean we're in a recession or depression" and that there are grounds for hoping for an upswing at midyear. Meanwhile, the Commerce De- partment reported that housing starts droped 15.1 per cent from the January level-a setback in the home building recovery that had been one of the brighter spots in the economy. Extends Coverage Date The investment tax credit al- lows a business to recover seven per cent of the amount spent on equipment by means of a direct deduction from income tax. The speeded depreciation rules allow quick recovery of capital spent on income-producing build- ings. Both were suspended last Oc- tober after a boom that piled up unfilled orders for machine tools developed. The resumption was set for Jan. 1, 1968. Johnson rec- ommended last week the benefits be resumed immediately-effective March 10. -Associated Press HENRY CABOT LODGE, left, is resigning as ambassador to South Vietnam and will be replaced by veteran diplomat Ellsworth Bunker, right, President Johnson announced today. Bunker is a former ambassador to India and the Organization of American States. EX-BOOKKEEPER: Employ e States Dodd Paid Ta",xres Wi],tth Political Funds WASHINGTON (A)-The Sen- ate Ethics Committee was told yesterday that Sen. Thomas J. Dodd, pressed by the Internal Revenue Service for back taxes, arranged to draw $6,000 from tes- timonial funds without disclosing the source of the money. The testimony came from Mi- chael V. O'Hare, the' Connecticut Democrat's former bookkeeper. O'Hare swore that Dodd agreed to have personal bills paid by money order because he didn't want "political checks going out." O'Hare said Dodd made that de- cision on the handling of funds raised at a Sept. 15, 1963, testi- monial reception. Ambassador Appointment The bipartisan committee also received additional testimony linking contributions to Dodd to a possible ambassadorial appoint- ment for A N. Spanel, chairman of the board of the International Latex Corp. Spanel never got an appoint- ment, but the committee has been told that the company contri- buted $8,000 in cash for tickets to a 1965 testimonial dinner for Dodd and charged it off to "in- dustrial relations expenses." The testimony about how Dodd got $6,000 for income taxes in 1963, came from O'Hare at the committee's third day of public hearings on charge that the sen- ator misappropriated campaign funds for personal expenses. O'Hare said that early in Oc- tober, 1963, Dodd was "under great pressure from the Internal Revenue Service IRS for payment of tax due for 1962." This was shortly after a DC Committee for Dodd had put on a reception at which slightly over $12,000 was raised-one of a ser- ies of affairs that the senator contends provided him with tax- free money to use as he saw fit. preliminary hearing to decide if Shaw should be held for trial. Garrison has charged Shaw participated with Lee Harvey Os- wald and David W. Ferrie in a conspiracy tovmurder President John F. Kennedy. In questioning aimed at shak- ing Russo's credibility as a wit- ness, the defense established that Russo once was under psychiatric treatment, Probing carefully, F. Irving Dy- mond, one of Shaw's attorneys, drew from Russo's testimony that he had consulted a psychiatrist for about two years, starting in 1959 when he was 18 years old. It was Russo, produced Tues- day as Garrison's "confidential informant," who testified that he heard Shaw, Lee Harvey Oswald and Ferrie plot to assassinate President John F. Kennedy. Preliminary Hearing The plotting took place, he said, in Ferrie's New Orleans apart- ment in September 1963. Presi- dent Kennedy was killed in Dal- las Nov. 22, 1963 and Oswald was named as the assassin. Russo's testimony did not state when or where the alleged as- sassination attempt would take place. The Warren Commission noted that a Dallas newspaper announced on Sept. 13, 1963, that Kennedy planned to visit four Texas cities, including Dallas, on November 21-22. Russo is the main state witness called thus far in the preliminary hearing before a three-Judge criminal district court panel. Shaw, 54, a wealthy retired exe- cutive, was arrested March 1 and booked by Garrison on murder conspiracy charges. No formal charge has been filed, pending the preliminary hearing. Shaw was freed on a $10,000 bond. Ferrie Dies Ferrie was found dead in his apartment Feb. 22. He had been under investigation by Garrison's office and told newsmen that the district attorney "supposedly had me pegged as the get-away pilot." Atty. Gen. Ramsay Clark said the FBI cleared Shaw of any link to the assassination in 1963 but the FBI would not say what prompted its investigation. Ram Manohar' Lohia, leader of' an opposition party in Parliament, told reporters Svetlana was com- pletely nonpolitical, having 4e- clared repeatedly: "I hate pol- itics." Svetlana, 42, came to New Delhi in January with the ashes of Brijesh Singh, an Indian who lived in Moscow and may have been her husband. Last week she turned up at the U.S. Embassy asking for asylum. She was flown via Rome to Swit- zerland, where she was admitted on a temporary visa. No Indian Permission Lohia said she first wanted to stay in India but "a spineless" Indian government was unable to get permission from the Soviet Union. A source. close to the Singh family said, however, Svetlana could not stay in India for ob- vious reasons. He added that in view of close Indian-Soviet rela- tions, she would live in fear that India would surrender her if the Soviet Union asked for her and in that case "her home would have been hell. Lohia said she told him at a wedding in Allahabad that her stay in India would not be ex- tended. She appeared depressed. "I suggested to her to fight it out, to put up a fight, but she U of M COMING JAZZ BA: ries home, feeling it was the only place he could relax, and his daughter was the pnly one on whom he could lean, Lohia said. Lohia described Svetlana as "a charming hostess, very gentle, very pretty, very considerate, who cooked very good food." She nursed Singh through his long illness. In Bern, Switzerland, Police Chief Ernest Spoetri said Svet- lana is saying in a Swiss private home "with someone very reli- able" who will protect her pri- vacy. U live the life she desired. Stalin never brought his wor-' D N G C 0 M I N Bruce W. Fisher, Director IN Generals Face Showdown in New Vietnam Constitution G COMING CONCERT* I First time in this area .. . World News Roundup BONN - West Germany will n i g h t, without announcement, help offset the foreign exchange some 20 feet to its permanent costs of stationing American memorial in Arlington National troops in Germany by purchasing Cemetery. $500 million worth of U.S. gov- The service, with Richard Car- ernment bonds. dinal Cushing of Boston pronoun- The bonds will be bought in cing the blessing, was held under four quarterly instalments during tight security. the U.S. fiscal year beginning * * * July 1, government spokesman BRASILIA, Brazil-Arthur Da Karl Guenther von Hase told a Costa E Silva was sworn in yes- news conference yesterday. terday as Brazil's 22nd president. Von Hase said the U.S. govern- The army marshall who retired ment has asked for $625 million to enter politics took the oath be- for the next fiscal year, about fore a jammed session of the Con- $175 million shy of meeting the gress, which last October elected estimated cost of maintaining him to the presidency. American troops. * * * * * * WASHINGTON - U.S. Roman WASHINGTON - Members of Catholic bishops urged their con- the Kennedy family, joined by gregations and clergy yesterday President Johnson, stood in a 'to advance the cause of Catholic- rainy dawn yesterday for the Jewish harmony" through such blessing of the new grave of for- means as common prayer and mer President John F. Kennedy. meetings to promote' mutual un- His body was moved Tuesday derstanding. SAIGON (P)-The generals who rule South Vietnam and the writers of its new constitution face an early showdown on how to achieve elected government this year. The Constituent Assembly has put the finishing touches to a nine-chapter constitution. The generals have a month to propose changes. These can be overridden by two-thirds vote in the 117-member assembly. By law the new national chart- er is to be promulgated no later than May 3. A presidential elec- tion is then promised within six months. Conflict Over Draft The regime has 'serious re- servations about the original draft and earlier submitted a series of proposed changes. Some were written into the document, but others were ignored. Sharpest conflict is over wheth- er chiefs of South Vietnam's 44 provinces will be elected or ap- pointed. A consensus in the assembly favored election. The regime wants these to be appointive posts. As the constitution is now written, province chiefs will be appointed in the first term of the first president and thereafter elected in militarily secure areas. Government Structure The new constitution provides for an independent judiciary headed by a Supreme Court of nine to 15 Judges, a two party political system, a two-house na- tional assembly and a president and vice president elected on the same ticket by universal adult suffrage. The president would be both chief of state and head of the government. He is to appoint a premier who, in turn, will select a cabinet. Father Tom Vaughn Trio. GUILD HOUSE 802 Monroe FRIDAY, MARCH 17 Noon Luncheon-25c IN CONCERT I i Father Tom Vaughn The REVEREND MARTIN BELL, Canterbury House: "Mass Communications" (A Series) on CIE" U Acclaimed as one of the nation's leading young jazz pianists is Father Tom Vaughn, an Episcopal priest from Midland, Mich. He will give a three-night series of concerts at the Penn Theater in Plymouth on Thursday, Friday, and Saturday, April 13, 14 and 15. Sponsored by the Plymouth Youth Council, the R.C.A. recording artist-clergyman will present performances that include both jazz standards and original compositions. Seats for the concerts are available now. Just clip out the coupon below and mail it with your check or money order for tickets. Reserved seats also available at Penn Theater or Melody House, Plymouth. Thursday, Friday and Saturday, April 13, 14 & 15,8:30 P.M. Presents UNION-LEAGUE Friday Night March 17 I THE PETITIONING FOR OPEN BOARD SEATS. Pick up petition today or tomorrow at Cinema Guild office, 2538 Student Activities Building. SIGN UP FOR INTERVIEW SESQUIDELIC PENN THEATER Plymouth, Michigan All Seats-$3.50 THE CAMPUS DANCE That'II be the - - - - - - - - - - - - - - - - - - - - - - - - --- i.- --- -- - - ---- - ---. ABRAHAM KAPLAN I HAPPENING OF THE Plymouth Youth Council P.O. Box 451 11 I1 r v _ .r "_r_" _ AnI -?n 0